Gold Prices Drop This Week, But Future Looks Promising
March 28th, 2009
Gold Prices dropped 3% from the start of the week to end up $921 to close out the week. Many people are wondering why the price of gold has been so unpredictable, despite economic hardships where gold prices usually flourish.
But current trends show that the price of gold is only set to rise. Many experts are still predicting a 4-digit gold price this year. Expect 6 months of volatility though.
The gold price is expected to continue to trade with a high level of volatility in the next six months, and could top the psychologically four-digit market for “extended” periods of time, Australian equity researcher Resource Capital Research (RCR) suggested in a report this week.
Pointing to the volume of new money being pumped into the world economy by national governments and central banks, “I certainly think gold will get above the $1030 high that it hit last year,” he added.
Here is a good analysis of why gold prices are set to soar this year. The excessive printing of money to “correct” the economic crisis will only lead to inflation, devaluing the dollar and other world currencies.
Posted in Gold Price News